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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Clarksterh who wrote (26692)	4/10/1999 10:05:00 PM
From: MileHigh	Read Replies (3) \| Respond to of 152472

Food Companies make 5% or so <gg> Dell @ 8%, Gorilla's should be able to exploit their proprietary technology and achieve very high margins. You lost me on 5% being a respectable Profit Margin!? It's better than losing money, I guess <gg> I'm just being sarcastic because I am not investing in QCOM in hopes of a 7% profit margin, but I could be naive. Company Profit Margin P/S PS/PM CSCO 21.4% 17.5 81.8 DELL 8.2% 5.8 70.7 EMC 21.5% 15.2 70.7 INTC 27.0% 7.5 27.7 LU 15.4% 4.7 30.5 MSFT 40.0% 25.8 64.5 QCOM 5.2% 2.9 55.8 SUNW 9.4% 5.1 54.2

To: Clarksterh who wrote (26692)	4/10/1999 10:14:00 PM
From: METMAN	Read Replies (1) \| Respond to of 152472

Clark....just a thought on handset arguments. Firstly, I would like the Q to hold on to the handset manufacturing. Sure, we can hear the Q's quality asics in other handsets, but to become a household name, either, a) everyone has to know that it's "Digital by Qualcomm" or "Q Inside" or...b) the Q name has to be prominently displayed on the phone (as is the case for the current Q handsets made by Q. I love my QCP-2700 and get that warm/fuzzy feeling when I see the logo....stock action in recent month has helped here, I admit. As Q has migrated from an oddity to a "global power" in communication technology, the best form of advertising is repetitive encounter...as shareholders, we need to see Q's phones all over the market or if not in the future, due to a sale, we need to see a not so subtle logo that reminds everyone who powers the handset. It's the best advertising there is....of course, we want margins, margins, margins, to continue, too. All the best, metman

To: Clarksterh who wrote (26692)	4/10/1999 10:32:00 PM
From: MMW	Read Replies (4) \| Respond to of 152472

Hi Clark, From MoneyCentral database, QCOM historical average profit margin is following: Profit Margins % Company Industry S&P 500 Gross Margin 34.9 40.9 48.0 Pre-Tax Margin 4.7 8.3 9.6 Net Profit Margin 3.4 5.3 6.8 5Yr Gross Margin (5-Year Avg.) 35.3 41.0 46.0 5Yr PreTax Margin (5-Year Avg.) 4.9 8.3 9.8 5Yr Net Profit Margin(5-Year Avg.) 3.9 5.0 6.5 Media General Industry: Communication Equipment Computed ratios are based on latest 12 months' results What I expect is the company to improve its profitability above the its industrial average 5.3 to 10.6 to achieve its Gorilla status. After all, we are investing in the company management team to expand their revenue and net profit margin by using its technological lead advantage in CDMA and improve share holder's value. I hope they will be able to deliver that in the next two or three quarter time frame. Cheers! Mike By the way, Dell's net profit margin is above 8%.